02 Dec In a group of 4-5 students, you will work together in creating your International Marketing Plan that will be due in Week 12 of the semester. Ensure each group member understands and acce
Overview: In a group of 4-5 students, you will work together in creating your International Marketing Plan that will be due in Week 12 of the semester. Ensure each group member understands and accepts their role and responsibilities for this project and agrees to specific dates for meetings and submission. Also, you will choose a team leader, this person will be the key point of contact with the Professor. A cohesive team that is well prepared, is a critical component to a successful marketing pitch. This is a good opportunity to apply your interpersonal communication skills as part of the course learning objectives.
All communication with me about this project MUST copy all team members.
Group formation will be completed in Week 7. – a Canadian company, their product(s), and the target country that your company with be exporting its product(s) to.
Your group will take on the role of an internal international marketing team whose job to assess the target country, determine the opportunity, and develop a detailed marketing plan.
Written report 20% due Week 12
The following is an outline or guide for your Written Marketing Report: It must be written in the voice of the International Marketing team of your company presenting their and analysis and recommendation to the company’s CEO and CMO.
1. Country Analysis – A brief discussion of the country’s relevant history, population, demographics, working conditions, exchange rates, major industries. Plus, an analysis of the topics below and their impact on your export and marketing plans.
When you write a fact or comment on a practice – think – why does this matter to your company, product, and plans?
- Trade and Economic Situation
- Political System (structure, current stability of the government)
- Legal/Regulatory System (what challenges do the systems present)
- Social and Cultural Forces (race, religion, ethnicity, subcultures, business customs)
2. Market Analysis
- Target Market Development – segments, product need, product awareness Consumer buying habits – shopping habits, product-use. Consider your distributor targets as well. How does the country or region's culture impact the target market
- Region - Describe the market(s) in which the product is to be sold, Region(s), Forms of transportation and communication available in that (those) region(s),
- Advertising and Promotion – What are the IMC tools that you would recommend reaching your target market Pricing strategy
4. Competitor Analysis -Compare and contrast your product and the competition's product.
- Brand name, Features, Package, etc. Competitor’s prices, promotion, and advertising methods
5. Detailed Marketing Plan (IMC)
- Marketing Objective – forecast market share and sales volume
- Marketing Strategy – clear and specific identification and description of the target market
- Marketing Mix – Product, Promotion, Price, and Distribution.
6. Summary and conclusion
7. Appendix – Tables, charts, exhibits
8. Works Cited
The uploaded file is the assignment done by other students on Swiss Chalet from Canada to Australia.
Studocu is not sponsored or endorsed by any college or university
MKTG 732 International Marketing Plan – Group Project Final
International marketing (Centennial College)
Studocu is not sponsored or endorsed by any college or university
MKTG 732 International Marketing Plan – Group Project Final
International marketing (Centennial College)
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Running head: MKTG 732: International Marketing Plan – Group Project 1
MKTG 732: International Marketing Plan – Group Project
Adnan Mehdi 301091381
Andrei Mosquera 301112834
Keshav Agrawal 301108922
Maria Maldonado 301119119
Vriti Kalia 301108877
Centennial College
MKTG 732 002 – International Marketing
Professor: Lesley Lessard
May 27, 2021
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1. Executive Summary:
Swiss Chalet, a Canadian casual dining restaurant, was established in 1954. The
company is based out of Toronto, Ontario. Over the decades of their presence they have
established themselves as an icon of Canadian-Family style dining (Taylor, 2016). Following the
success with opening as a Bar-b-Que grill in Montreal its founder Maurice Mauran moved to
Toronto after finding an investor and opened the first Restaurant in Bloor Street West. (Taylor,
2016). Swiss Chalet is known for their rotisserie chicken sided with fries and smashed potatoes
as the iconic dish. The founder Maurice Mauran also founded Harvey´s, a famous hamburger
restaurant and has been managed by the same food chain as Swiss Chalet (Taylor, 2007).
Swiss Chalet has more than 200 restaurants across Canada. It is a signature brand around
Canadians and despite their efforts to become international they have not found success outside
the Canadian market. In 2011, the food chain closed locations outside Canada which were
notably in Buffalo, NY and Puerto Rico. (El nuevo dia, 2011)
Recipe Unlimited Operation, previously named Cara Operations, is the largest Canadian
operator of full- service restaurants (Recipe, n.d.). Along with Swiss Chalet, Recipe Unlimited
Operation owns 19 other brands which include, The Keg, Harvey´s, Montana´s, Kelsey´s, St-
Hubert, New York Fries, and so forth.
In recent times, despite efforts to attract new and younger audiences, Swiss Chalet is
facing an aging market while constitute its customers in the 55+ years age gap (Dallaire, 2017).
Swiss Chalet partnered with Hockey Canada, as an “international marketing partner” with the
aim to attract new customers nationally and internationally and it is also an intensified effort to
attract younger markets. (Cision, 2021)
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Amidst complicated success over years Swiss Chalet came up with a revolutionary idea
that changed the profitability of the company. “Grocery Products” of the most popular items of
the restaurant. The grocery products made a significant improvement for the company and placed
Swiss Chalet as the second most profitable company for Recipe Unlimited Operations. (Recipe
Unlimited Operations, 2020)
This Report provides insights on how Swiss Chalet can go beyond borders to markets like
Australia. The Economy is an open market economy and has minimal restrictions on import of
goods and services. The commercial relationship between Australia and Canada is strong and
diversified. Both countries have developed their relationship based on a shared set of values in
various avenues like trade, academic exchange etc. & they have also entered into free trade
agreements. This needs mention, the per capita GDP of Australia is higher than Canada. The
consumer spending is as high as 56% and shares similar industry traits of having a higher ratio of
Professional Pool in Service Industry (78.8%) which creates an opportunity for Swiss Chalet.
This Report aims to provide insights on competition, consumer and market conditions which
support the expansion to Australia for Swiss Chalet.
The Australian Economy is known as a highly developed market economy with GDP
worth US $1.376 trillion. The economy has not experienced any economic recession since July
1991 and remains to be stable and resilient. Australia holds the position of having the 2nd position
with regard to median wealth per adult. Both Canada & Australia enjoy free trade arrangements
due to which the business prospects for Swiss Chalet is favorable towards its expansion.
Australia stands in the 14th position in the list of Ease of Doing Business with a score of 81.20
(World Bank, 2019). Canadian Dollar is one of the major currencies having a top spot in
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Australian Market with a flow of investments of CAD $ 66.0 Billion (Statistics Canada, 2018).
Both Canada & Australia have a country risk rating of 7 (World Security Risk, 2018).
Through this report we address the opportunities that Swiss Chalet could have by entering the
Australian market by identifying the risks and characteristics of the target market. The proposed
marketing mix to enter the Australian market outlines the target market and identifies reasons
why it could or could not be an opportunity for the Swiss Chalet.
The recommended strategy for market entry into Australia is recommended around
Product, Promotion and Pricing.
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2. Brand Analysis:
SWISS CHALET – BRAND IDENTIFICATION
Brand Name Swiss Chalet
Background The first Swiss Chalet was opened back in 1954 in the Bloor Street West area of Toronto. Maurice Mauran of Montreal engineered the brand along with another businessman. Before opening in Toronto, the founder introduced his barbeque style chicken in his Chalet-Bar-B-Q which was inspired by Swiss method of making chicken. This resulted in the brand being called “Swiss Chalet”. After the instant success of the first branch, other two were opened (Taylor, 2016). Today, over 30 Canadian cities from different regions and territories have 200 franchises of Swiss Chalet.
Milestones & Results
Swiss Chalet celebrated their 65th anniversary in June, 2019. To celebrate this milestone, they offered a one-day special offer to all their customers. The opening of the first store was back in 1954 (Media Ltd., 2019).
Target Market 25-49 years. They mainly focus on bringing together families, which is why their slogan is “Family Happens at Swiss Chalet” (Brown, 2021). But now, they are targeting millennials too.
Main Competitors Nationally and Internationally.
In Canada- Barbeque Nation, Smokey Bones, Islands Restaurants, Quaker Steak & Lube, Houlihan’s and Cowboy Chicken (ZoomInfo, n.d.). In Australia- Hungry Jack’s, Red Rooster, KFC, Guzman y Gomez, Oporto, Nando’s, Grill’d and Subway (Birot, n.d.).
Relation with customer
It tries to stay in touch with the customers by sending them emails to know about the customers’ experiences. Also, it promotes the concept of a family eating together and emphasises on spending some quality time with the family. It is also one of the famous restaurant chains in Canada when it comes to their customer service (Brown, 2021).
Current Marketing Plan
It has improved its marketing plan by targeting millennial families but at the same time stayed connected to its original plan which focuses on family dining together. Its television commercial highlights how millennial families rely on text while deciding their dinner plan. As a result they have introduced a new tagline for their brand “Any day, any way, dinner’s ready at Swiss Chalet”. It has improved its mobile application so that people can order through Uber and even schedule their weekly orders together (Singh, 2017).
Brand´s Current Goal.
After unveiling the new design and menu in 2017 the brands current goal is to provide delicious options for everyone on the table by forging a welcoming, cool and casual environment (Media Ltd., 2017). Another goal they have is to develop the newly opened grocery section (Swiss Chalet, n.d.).
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SWISS CHALET – SWOT ANALYSIS
Strengths Weaknesses
*Well positioned Canadian brand.
* Exposure in over 30 Canadian cities from different regions and territories with 200 franchises.
*Great profitability (third more profitable for the Operator)
*Supported by 19 other brands and the biggest Canadian operator.
*Diversification of product and services. (Grocery Products over metro, fortinos, giant tiger and others)
* The more franchised restaurants the more difficult the decision making for the company represents.
*Internationalization decision relies on the operator (Recipe Unlimited Operations).
* The food doesn't appeal to the millennials
Opportunities Threats
*New image and new partnered marketing strategies.
* Market opportunities with countries with similar culture and background.
* Ageing customers.
* International chains like (Popeye’s, KFC and others)
3. Country Analysis:
Australia is the largest country in the world and is also the smallest continent.
Australia is situated between the pacific and the Indian ocean. The major economic and cultural
centers are Melbourne and Sidney. Its population as of 2019 is 25.36 million (Data Commons,
n.d.).
Australia is an incredible and intriguing country, with an Aboriginal populace going back
a long time. After World War II and the Vietnam war many immigrants shifted to Australia.
While Australia was trying to divert water (Snowy Mountain Scheme) from the rivers they
employed 100,000 people out of which most of the workers (70%) were immigrants. Many
people from diverse cultures are residing in Australia (Insider Guides, 2016).
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Trade and Economic Situation.
The two-way trade between Australia & Canada was at $4.1 billion in 2018. Furthermore,
the two- way direct investment of Canada to Australia amounted to CAD $ 66.0 Billion
according to statistics Canada and investments from Australia were CAD $11.5. Australia is
ranked to be 8th Largest direct investment nation by Canada and while Canada is ranked 12th by
Australia. Many Canadian Companies consider Australia as a good and favorable location to
invest in the south east Asia Region. Australia and Canada share friendly and highly productive
relations which can be leveraged by Swiss Chalet.
With globalization it is seen Australians are more receptive to international brands
especially those from Canada. According to Data 34% of Australians aged 14 and above said
they are more likely to buy Canadian Brands in the year 2006. Australians are known as early
adopters as they prefer to buy new products. It is important to mention; Australians have a good
standard of living due to the minimum wage policy which helps them to maintain a lifestyle.
According to fair commission trade, the minimum wage is AUD $ 18.93 per hour. With the
average minimum wage of Canada being CAD $14 Australians have more buying power. This
takes into consideration of the currency exchange being almost at par (1 AUD = 0.94 CAD).
Given this it is favorable for Swiss Chalet to expand their opportunity into the Australian Market.
The GDP per capita for Australia in 2019 was AUD $ 53,825 which in Canada was CAD $
46,213. Australia's Preliminary Estimated Resident Population (ERP) as of September 31, 2020
was 25,693,059. Since 2019, the number of people living in Australia has increased by 0.9%.
Political System
The Political Stability index measures the ease with which the government can be
disrupted or weakened using any prohibited or violent means such as violence or terrorism. From
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the below graphical statistics it can be concluded that doing business with Australia is safe as it
substantially generates value. Australia is recognized as one of the destinations to have
transparency and well-articulated regulations to welcome investments. Australia has vibrant
economic policies and flexible exchange rate(s). The Government of Australia has more
favorable trade and investment policies for the United States & Canada in comparison to that of
Asian Countries. (Economic and political outline, 2019). The welcoming climate implies that
Pajar Canada can expand their business into Australia.
Legal/ Regulatory System
Australia has a series of policies for companies involved in the food and beverage
industry, which has allowed it to have a high standard when it comes to quality[CITATION
Ove19 l 1033 ]. Regarding international trade, Australian food regulation is divided into tariff
and non-tariff barriers.
Food products entering Australia require classification and declaration to the Australian
Border Force. This entity establishes import restrictions, tariffs and quotas, export subsidies and
domestic support for agricultural products. Additionally, food and drink imported into Australia
must comply with strict biosafety requirements, the Food Standards Code, and the Imported
Food Control Act of 1992. Under this legislation, imported foods are inspected and controlled,
through a border inspection.
Social and Cultural Forces.
Australia with a high degree of religious freedom and diversity, is a secular country. In
the Australian society religious institutions play a huge role. They own a huge number of
schools, hospitals etc. The most seen religion in the country is Christianity. After the abolition of
White Australian Policy in the 1970s, the country saw a rise in non-Christian religions in the
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country. Australians avoid overt display of religiosity. To maintain a balance between their
private life and work life, people tend to avoid stating their religious beliefs at work. Atheism is
also unappreciated in the country. Jewish, Islam, Hindu, Buddhist and Sikh communities also
reside in the country (Cultural Atlas, n.d.). Moreover, Australians tend to be direct and clear
while doing business communications (Cultural Atlas, n.d.).
4. Market Analysis:
a. Region
Sydney and Melbourne are the most densely populated regions(Appendix) establishing
the restaurants in those areas can prove to be profitable for Swiss Chalet in capturing more
people and developing their own market share. Transport vehicles like trains, busses, ferries,
light rail and cars are prominent in Sydney (NSW Government, n.d.). On the other side
Melbourne has trains, trams and busses (Victoria State Government, n.d.). The modes of
communication in the country include Social Media (Facebook, Twitter, Instagram, LinkedIn,
Google+ ), Smartphone or Mobile Device and Email (Lin, 2017). Culturally the eating habit of
the Australian population is different. The poor diet report from the Australian institute of health
and welfare from 2019 revealed that the adults and children consume 5-7 and 3-8 servings of
discretionary food respectively on a daily basis. The intake of sugar sweetened drinks on a daily
basis is also quite high. An average Australian spends 32% of its income weekly on fast foods. A
big factor for this was the price and how easy it is to get fast food specially for the young
population. Moreover, on an average 90% of the adult population consumes packed snack food
on a weekly basis (AIPT, 2020).
b. Market Segmentation
Age Groups- Currently Swiss Chalet in Canada is experiencing a decrease of customers
as most of them belong to the Baby Boomers (1946 – 1960) and Generation X (1961 – 1975). To
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enter the Australian market, we are focusing also on Millennials (1976 -1990) and Generation Z
(1991 – 2005). According to the Australian Bureau of Statistics, Sydney and Melbourne are the
most densely populated cities in the country with an increase of 1.1 and 1.6 % in population
respectively (Australian Bureau of Statistics, 2021). Establishing the restaurants in those areas
can prove to be profitable for Swiss Chalet in capturing more people and developing their own
market share.
c. Advertising and Promotion
As Australia is a low context culture country, the advertisements should be direct with
less flashiness so that people do not find it irritating. Marketers have to focus on presenting the
direct picture of the product so that people get allured by the advertisement but do not find it
repulsive. Australia uses both the traditional methods of advertising like television, radio,
billboards transit and digital methods like social media, mobile app, emails etc.(Business.gov.au,
2020). Brands in Australia use sales promotion like gift with purchase, product giveaways,
vouchers, offers, loyalty points etc.(Jess, 2017, #). Several pricing strategies like cost based,
competition based, value based and product based are used by the brands in
Australia(Business.gov.au, 2021). The demand by the people also plays a huge role in
determining the price of the product.
5. Competitor Analysis:
a. Competition
Competition
Name
Number of
Restaurant
/Stores
Main Goal Target
Market
Diversified Products.
(grocery frozen
meals)
Nando´s 261 total restaurants, 21 Owned, 3 Offices and 240 franchises.
Nandos is aimed at people who want to enjoy a nice casual dining restaurant in a nice atmosphere.
Young population between 18- 35 of age.
Yes. Sauces, marinades and dips are sold in supermarkets
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Popeye´s There are 230 stores and 35 new stores are planning to open in the next six years.
Quick-serve restaurant
People aged between 25 to 49 years old
No
Kentucky
Fried
Chicken
160 stores owned by KFC and 480 franchises.
It aims to not only sell chicken but to offer quick service and open restaurants across the globe.
Young population between 18- 55 of age
No
Red Rooster Over 360 restaurants throughout Australia
To open more fra